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FG Proposes Productivity-Based Wages Payment

Grace Omachoko

The Federal Government is set to introduce a new wage system in the civil service that will link salaries to employee productivity.

This approach means that workers on the same level could earn different salaries based on their output.

Nasir Raji-Mustapha, Director-General of the National Productivity Centre (NPC), during a meeting with labor correspondents on Monday, explained that the new system is designed to reward productivity, a crucial factor for economic growth.

“We are developing a productivity-led wage system to ensure that those who are productive are rewarded for their efforts, irrespective of their grade level.

“Under the proposed system, employees on the same salary scale can earn different wages.” he said

Raji-Mustapha emphasized that the support and input of organized labor are essential for this initiative.

He noted that labor unions have been involved from the project’s inception, with initial forums and consultations held three to four years ago.

“We sent a memo to the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) to seek their support for the proposed wage system, and they expressed their willingness to welcome it.

“The first phase of the study on the new wage system has been completed, and the NPC is now preparing to engage various stakeholders for further input before presenting the proposal to the Federal Government for consideration” he added.

Raji-Mustapha also highlighted the NPC’s collaboration with international agencies such as the International Labour Organisation, the Japanese International Cooperation Agency, the Africa Productivity Association, and the Asia Productivity Association.

These partnerships aim to enhance the productivity and skills of Nigerian workers, thereby positively impacting the economy.

The NPC has also focused on promoting productivity among youths, particularly through initiatives at National Youth Service Corps (NYSC) camps.

Furthermore, Vice President Kashim Shettima is set to deliver the keynote address at the National Productivity Summit organized by the NPC, which begins in Abuja on Tuesday.

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